The Central Bureau of Statistics today published its summary of 2017. As forecast, the economic results were good, but not as good as in 2016; there was a decline in almost every sector. The estimate is an initial one, not final. The budget deficit reached its lowest point in recent years as a result of tax revenue surpluses and campaigns by the Israel Tax Authority.
According to the figures, GDP grew 3.0% in 2017, following rises of 4.0% in 2016 and 2.6% in 2015. Seasonally adjusted figures for GDP by quarters show that GDP was up 3.5% in the third quarter (4.1% in the previous estimate), after rising 2.6% in the second quarter and 0.9% in the first quarter, in annualized figures.
Israel's population grew 1.9% in 2017, meaning that per capita GDP was up 1.0% in 2017, following a 1.9% rise in 2016. Per capita GDP totaled NIS 144,500 in 2017, $40,100, in current prices.
For the sake of comparison, OECD figures show that per capita GDP rose 1.9% in its member countries. The Central Bureau of Statistics said that its preliminary estimates for 2017 as a whole were based on figures from 9-11 months and projects for the missing months.
Private consumer spending rose 3.0% in 2017, 1.1% per capital, following a 6.1% increase in 2016. Per capita spending on durable goods dropped 10.9%, and per capita spending on semi-durable goods (clothing , footwear, and so forth) grew 4.7%. Per capita spending on current consumption (food, housing, fuel, services, etc.) was up 2.2%.
Government sector deficit
The current account deficit in the government sector totaled NIS 8 billion in 2017, 1.1% of GDP, compared with NIS 15.6 billion in 2016, 1.8% of GDP, and a 2.9% budget deficit target.
Published by Globes [online], Israel Business News - www.globes-online.com - on December 31, 2017
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